The refinancing of a portion of the Ripon Unified School District’s general obligation bonds by taking advantage of historically low interest rates is saving its taxpayers some $1.5 million.

The school board directed its financing team to complete the refinancing transaction at its August meeting allowing the interest rate on its outstanding bonds to drop from 5 percent to 3.3 percent. District Superintendent Ziggy Robeson said it also improved the district’s A-plus credit rating with a positive outlook by Standard and Poor’s that was based on a presentation made by the school district’s representatives to the rating analysts.

Standard and Poor cited Ripon’s pragmatic fiscal management, stable regional economy and the desirability of the schools and the Ripon community as contributors to the high-quality rating.

Robeson noted that as a result of the rating improvement, the current favorable bond market environment, investor demand for the bonds far exceeded the amount available to be sold in most cases.

She added that the Ripon Board of Trustees and the district staff greatly value the strong support they have received from the Ripon community and are very pleased to complete this refinancing to reduce the cost to taxpayers.  

“We strive to provide the best education for our community while minimizing the cost to taxpayers,” said Robeson..

To contact Glenn Kahl, email gkahl@mantecabulletin.com.